Between 1980 and 1986, the price of oil dropped by 71 percent. In the same period, inflation fell by 70 percent. Even so, policy continued to reflect the belief that high wages, not high oil prices, were the primary cause of runaway inflation. This was the slow growth / anti-inflation policy of the Federal Reserve. Based on the belief that full employment and high wages cause inflation, official policy came to embrace slower rates of growth that...
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This book provides a succinct account of what may happen to the energy sector in the former Soviet Union in the medium- to long-run under alternative scenarios for macroeconomic reform. The analyses r...